Cameron tax blitz wins bosses’ vote

The prime minister has been praised for his pledge to keep cutting rates while cracking down on aggressive avoidance

David Cameron held a private meeting with 60 top executives after his Davos speech (Michel Euler)

BUSINESS leaders at Davos have backed David Cameron’s crackdown on corporate
tax cheats, saying they support his campaign to lower tax rates but curb
aggressive avoidance.

Cameron used a speech at the annual meeting of the World Economic Forum last
week to pledge to make companies “wake up and smell the coffee” — a gibe at
Starbucks, which has been criticised for avoiding UK taxes through an
elaborate corporate structure.

A few hours after his speech, Cameron spoke to 60 chairmen, chief executives
and investors at a private meeting.

Those present said he repeated his determination to beat avoidance, and
reiterated the Conservatives’ long-term goal to bring corporation tax
“towards 20%”. It is currently 24% and due to fall to 21% by April 2014. In
2010 it was 28%.

Cameron also said the new Patent Box scheme, to be introduced this year, would
reduce tax on earnings from products and ideas